In November, the pharmacy chain completed a $70 billion purchase of medical health insurance giant Aetna that CVS has stated can change the organization and along the way affect the way consumers experience healthcare.
"We are attempting to transform the," states Dr. Alan Lotvin, executive v . p . for transformation for the organization. The healthcare industry, he states, has become organized for that ease of doctors, hospitals along with other providers of care. "I believe likely to chance to arrange round the consumer," Lotvin states.With almost 10,000 stores across the nation, CVS states it's already where individuals are. Now, with the help of Aetna, CVS offers coverage of health for 22 million people.
CVS intends to transform a number of its stores as well as their existing retail clinics into hubs which will offer more healthcare products and services. The organization put its first test locations in areas with a lot of Aetna patients, hoping directing patients from costly emergency rooms towards the stores' less pricey MinuteClinics.The organization states this retail approach can make it simpler and cheaper for individuals - particularly individuals with chronic illnesses like diabetes, cardiovascular disease or bronchial asthma - to handle their conditions.
But the organization faces challenges for making the mixture of an insurer and pharmacy chain work. Inside a statement about quarterly financial results released Wednesday, CVS Chief executive officer Ray Merlo stated, "2019 is a year of transition once we integrate Aetna and concentrate on key support beams in our growth strategy."A number of CVS's lines of economic have endured recently, including its business offering medicines to lengthy-term-care facilities. CVS shares fell 8 percent Wednesday after the organization published a $2.2 billion loss for that 4th quarter and decreased its profit outlook for 2019. Pressure is on CVS to obtain the Aetna addition to repay rapidly. CVS Health started speaking about the thought of healthcare hubs at the end of 2017 if this launched its bid to purchase Aetna. At that time, Merlo requested NPR's Steve Inskeep to "make a world where [a] patient can enter a CVS pharmac[y], they are able to build relationships an expert in nutrition regarding their diet. They are able to speak with a nurse specialist, possibly get their bloodstream glucose level checked, speak with their pharmacist about medication."
But there have been couple of information regarding how the organization would accomplish it, so far. CVS has opened up three test locations in Texas, including one out of the Houston suburb of Spring.Initially glance, it isn't everything not the same as every other CVS. You will find aisles full of chocolate and Band-Aids, fridges filled with soda as well as in the rear a busy pharmacy counter.